arena lease and management agreement city of glendale, arizona ...

SUBSTANTIAL FINAL DRAFT 11/27/12 12:35
Arena Facility to the Condemnation Restoration Standard; and (c) monies received under Sections 15.3.4
and 15.3.5 below (together with the Condemnation Award), are sufficient in the reasonable estimation of
the Arena Manager (which estimation is reasonably approved by the City) to pay the amount by which
the costs of such restoration exceed the Condemnation Award, the Condemnation Award and such
monies shall be disbursed from the account into the foregoing account to pay the costs of such
restoration in accordance with the Condemnation Restoration Standard as soon as is reasonably possible.
In such event, this Agreement and the Noncompetition/Non-Relocation Agreement shall continue in full
force and effect.
15.3.3 If the monies in the account specified by Arena Manager (after the deposit of the
Condemnation Award therein), are insufficient to pay the costs of such restoration, then, within 90 days
after the date of the Taking, the Arena Manager shall give the Team Owner and the City notice of the
Condemnation Deficiency, and the Arena Manager shall elect to either (i) provide, within 30 days after
providing such notice, additional monies in the amount of the Condemnation Deficiency, or (ii)
terminate this Agreement and the Noncompetition/Non-Relocation Agreement by notice of termination
to the other parties.
15.3.4 If the Arena Manager elects to provide the amount of the Condemnation
Deficiency, the Arena Manager shall deposit such amount in the account specified by Arena Manager,
and monies shall be disbursed from said account to pay the costs of such restoration in accordance with
the Condemnation Restoration Standard as soon as is reasonably possible. In such event, this Agreement
and the Noncompetition/Non-Relocation Agreement shall continue in full force and effect. The Arena
Manager shall be reimbursed for the amount provided to the Arena Manager pursuant to this Section
(plus interest at the Interest Rate from the date of provision to the date of reimbursement) from the
specified account, as monies become available from such account.
15.3.5 If the Arena Manager is entitled to and does elect to so terminate this Agreement
and the Noncompetition/Non-Relocation Agreement, the City shall have the right (within 30 days after
the City’s receipt of notice of the Arena Manager’s election to so terminate) to give notice to the other
parties of the City’s intent to pay the amount of the Condemnation Deficiency, in which event the City
shall deliver, within 30 days after the date of the City’s notice, the amount of the Condemnation
Deficiency to the Arena Manager for deposit into the Arena Manager’s specified account. Upon such
deposit, the Arena Manager’s election to terminate shall be deemed rescinded and void, and monies shall
be disbursed from such account to pay the costs of such restoration in accordance with the
Condemnation Restoration Standard as soon as is reasonably possible. In such event, this Agreement
and the Noncompetition/Non-Relocation Agreement shall continue in full force and effect.
15.3.6 If the City does not give such notice to the City’s intent to pay the Condemnation
Deficiency amount within 30 days after the City’s receipt of the Arena Manager’s notice of election to
terminate, or does not deliver the Condemnation Deficiency amount to the Arena Manager within the
thirty-day period for delivery described above, this Agreement and the Noncompetition/Non-Relocation
Agreement shall be terminated at the expiration of the applicable thirty-day period, and the
Condemnation Award shall be paid to the parties as their interests may appear.
15.4 Partial Taking Near End of Term.. If the Arena Facility is the subject of a Taking during
the last two Fiscal Years of the Term that is not a Substantial Taking, and restoration of the Arena
Facility to the Condemnation Restoration Standard will, in the Arena Manager’s reasonable estimation,
not be completed prior to the commencement of the last Hockey Season during the Term, then the Arena
Manager shall have the right to terminate this Agreement and the Noncompetition/Non-Relocation
Agreement by giving notice of such termination to the other parties, and the Condemnation Award shall
be paid to the parties as their interest may appear.
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